11i to R12 Transition Decision: Upgrade or Reimplement?

an eprentise White Paper

LLC. LLC. All Rights Reserved. and E-Business Suite are registered trademarks of Oracle Corporation. LLC. All other company or product names are used for identification only and may be trademarks of their respective owners. Oracle. All rights reserved.11i to R12 Transition Decision: Upgrade or Reimplement? Author: Skip Straus Published: October 2009 www. © 2009 eprentise. 2 . eprentise is a registered trademark of eprentise. Oracle Applications.com © 2009 eprentise. LLC. FlexField Express and FlexField are registered trademarks of Sage Implementations.eprentise.

there are a number of factors. However. Projects may cost in the range of several million dollars to tens of millions and are often proportional to the size and complexity of the business. You will likely reduce the consulting services required. Why reimplement? © 2009 eprentise. then set budgets. and do the work over one to two years. that have led many to decide to reimplement or to delay. We have observed that companies plan the transition for approximately a year. including the new Financials architecture and concerns about product quality. We believe E-Business Suite 11i customers can upgrade instead of reimplement. If you like what R12 offers and you want to save time. You may be able to launch R12 and start capturing the business benefits from 1 to 2 quarters earlier. shorten the time-to-value at a lower cost. 3 . The purpose is to show how reimplementation became a widely considered approach instead of upgrading. With the introduction of eprentise software. money. This white paper is for decision makers in organizations that run Oracle® E-Business Suite 11i and are planning how to get to R12. since that is the easiest path for enterprise software product upgrades. line up resources. you can combine eprentise Transformation software with Oracle upgrade to upgrade EBS 11i instances to a single global instance of R12. and provide a better R12 result for both the Business and IT. LLC. you can eliminate obsolete fundamental setup configurations and multiple instances as reasons that lead organizations to select reimplementation. Most organizations will upgrade if possible. All Rights Reserved. The transition from 11i to R12 is a highstakes major initiative for any E-Business Suite (EBS) customer. You can choose to bring all historical data or select subsets from 11i. and resources on the transition. and to give EBS 11i customers a new perspective on upgrading.11i to R12 Transition Decision: Upgrade or Reimplement? At A Glance You have the same opportunity to change setups to define the target R12 instance as you would have if you were to reimplement.

LLC.11i to R12 Transition Decision: Upgrade or Reimplement? As customers look at whether they should reimplement or upgrade. We observe that software vendors usually make upgrades easier than starting from scratch. it is simpler. R12: Upgrade vs. 6. Because it’s perceived as a requirement. disposition of the 11i instance. Your E-Business Suite 11i environment may have conditions that seem to require Customer reimplementation plus data migration. if they know how and can do so at an acceptable cost. they have an easier time justifying the additional expense. Your organization’s Oracle specialists. including ones that are strong indicators for reimplementation. Most EBS customers upgrade if given a choice because that is the path of least resistance. 2. An Oracle document. 4 . individual customers shoulder the reimplementation burden. Our Decision Factors – 11i to R12 table below lists the conditions. reporting. All Rights Reserved. and the time-to-value is shorter. and business intelligence:   You have to implement a fresh installation of R12. © 2009 eprentise. effort. but that other customers may be lucky enough to reap the new release benefits via Oracle’s upgrade process. consulting firms. Nevertheless. 3. EBS customers with brand new implementations are not impacted by the transition complexities. If not. uses fewer resources. Compared to reimplementation. 1. data history. Oracle E-Business Suite (EBS) R12 is a significant new version with valuable new features and capabilities. these are some of the decision points that they are considering. will likely cost less. 4. and industry analysts should look at the current situation and re-think why they accepted that the new architecture required you to start over and reimplement. 5. reimplementation drains the business’s resources more than a typical major release EBS upgrade. and delay of putting R12 into production. according to Oracle. We also observe that some customers’ business users and IT staff have been frustrated with their current EBS implementation and its restrictions. Here are some reimplementation consequences in the areas of implementation. Most people currently think some customers are forced to reimplement in order to take advantage of R12. They accept the requirement to reimplement as an opportunity to break with the past and get a clean start with Oracle. You are on your own to get your historical data from the legacy 11i instance into R12. Reimplement (Financials) clearly defines the terms and introduces some of the key factors.

You will need a policy for each different type of data. and only open transactions. Oracle’s description concedes that reimplementation is more difficult.     7. This is an advantage if you are not satisfied with your 11i setups. If you have a business intelligence environment or data warehouse. you will make changes to incorporate the frozen legacy 11i and operational R12 environments. reconciliations. There is little to gain from custom historical data migration across the numerous EBS tables compared to the controlled historical data migration performed by Oracle’s upgrade process. such as Oracle Consulting. It will cost money and require several iterations to get it right. Some call this a “sunset” instance. It must be frozen and restricted to read-only access. current year. That includes translations. dealing with data history will be a significant part of your reimplementation project." “Flexibility” here means you have another opportunity to make major IT decisions to live with for a long time." 8. consider eprentise Transformation software plus Oracle upgrade: Use eprentise software to: © 2009 eprentise. If you upgrade. Even though data conversion tools these days are powerful. You will devise reporting mechanisms to span the legacy 11i and operational R12 instances. All Rights Reserved. Oracle provides no such opportunity for change within R12. mappings. 5 . "It is a project that you would generally undertake with the support of a professional services provider. The usual choices include most recent and current fiscal year. and programmers in the global data centers are inexpensive. complex. Despite the conditions that apparently require reimplementation. You now have a choice. You will keep the 11i instance in “legacy” mode. and external reporting environments. and resource intensive compared to an upgrade. LLC.11i to R12 Transition Decision: Upgrade or Reimplement?  You have to decide what history to load and what to do with the remainder. Oracle’s description of R12 reimplementation comments on configuration setups and data migration: There is "greater flexibility in your setup and in how you migrate your historical data using supported public interfaces.

They may already have analyzed R12. You can choose to bring all historical data or select subsets from 11i. and inventoried what needs to change from 11i to R12.    You will likely reduce the consulting services required. Would it be distracting to look for several hundred thousands of dollars savings? 12. Consolidate 11i instances as required so there is only one instance to upgrade. 10. One way to discover if eprentise plus upgrade would be better for your organization is to invest about six person days of your R12 program management team and IT financial analysts’ time with us. All the transactions in all subledgers reflect the new setup parameters. collected your business users’ requirements. We understand that if your organization has already made a decision and you have started the reimplementation project. Adjust or re-do any unsatisfactory setups. even if there could be potential material savings or faster time-to-value. 6 . eprentise Transform plus Oracle upgrade is cheaper. for which you pay as part of Oracle Support. 11. you retain more of your investment in the 11i instance.11i to R12 Transition Decision: Upgrade or Reimplement?     Transform the fundamental setups of your 11i instance(s) to eliminate the reimplementation conditions. We need to know more about your situation before we can talk about transition cost savings. The result is an R12 instance with all the desired target characteristics and all the historical data. What is the state of © 2009 eprentise. faster.   You have the same opportunity to change setups (flexibility) to define the target R12 instance as you would have if you were to reimplement. You may be able to launch R12 and start capturing the business benefits from 1 to 2 quarters earlier. and better than Customer reimplementation plus data migration. LLC. you may be reluctant for your people “to get distracted” by a new idea. 9. Run the Oracle upgrade. With this R12 transition approach. All Rights Reserved. Transform the 11i data to reflect the removal of reimplementation conditions and new setups. You also take advantage of Oracle’s upgrade software.

Another set of items will be dependent. such as what happens in the Business Intelligence environment. the better. how long it would take. such as reports and interfaces. specifically aiding you in deciding which method will be best for your organization’s adoption of R12 and the new features that come along with it. focus on the components that are dependent on the specific transition methods. reimplementation discussion in the context of the overall transition to R12. Some are mostly independent of the upgrade vs. reimplementation decision. Itemize and inventory everything that needs to change. virtually everything that touches the E-Business Suite. When planning the transition to R12. and schedule? The more detailed. First understand what the R12 target needs to be. What do you not need to touch if you upgrade? What do you need to replicate anew if you Reimplement? What extra historical data that is supposed to be unchanged must be managed and migrated if you reimplement? There will be other project components impacted by the 11i to R12 transition. Then consider how you would make each change via upgrade (with eprentise Transformation software plus Oracle upgrade). and what it would cost. costs. 7 . LLC. Compare that to the 11i instance(s). we can deliver a preliminary proposal of how you could use eprentise Transformation software to upgrade to R12. Within two weeks. © 2009 eprentise. and via reimplement (implement it and migrate your historical data). All Rights Reserved. Cost/benefit and resource expenditure analyses will assist in your transition planning.11i to R12 Transition Decision: Upgrade or Reimplement? their reimplementation estimates for resources. Conclusion It is important to keep the upgrade vs. A parallel analysis considers everything in the 11i instance(s) that does not need to change on the path to R12.

electronic or mechanical.290. This document may not be reproduced or transmitted in any form or by any means. All Rights Reserved. LLC.5363 407. nor subject to any other warranties or conditions.6952 info@eprentise. © 2009 eprentise. 8 . for any purpose. including implied warranties and conditions of merchantability or fitness for a particular purpose.eprentise. whether expressed orally or implied in law. We specifically disclaim any liability with respect to this document and no contractual obligations are formed either directly or indirectly by this document. All rights reserved. eprentise.com Copyright © 2009. This document is not warranted to be error-free. without our prior written permission. FL 32835 888.S. This document is provided for information purposes only.943. and the contents hereof are subject to change without notice.A. Published in the U. Suite 302 Orlando.11i to R12 Transition Decision: Upgrade or Reimplement? 11i to R12 Transition Decision: Upgrade or Reimplement? October 2009 Author: Skip Straus eprentise 8815 Conroy Windermere Rd. LLC.com www.

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